The most important data this week, PCE Inflation (the Fed's preferred inflation measure) will be released at 7:30 PM tonight:

👉 The current forecast for monthly PCE (m/m) and Core PCE (m/m) is expected to remain unchanged at 0.3%.

👉 The year-on-year data (Core PCE y/y) is forecasted to slightly increase from 2.6% > 2.7%.

Previously, both CPI and PPI inflation recorded significant decreases in the last release, so I will stick to the possibility that PCE will also decrease rather than increase this month.

If PCE decreases, the market will recover after a significant drop earlier today, and this recovery could last until Saturday or possibly even until Sunday. Conversely, if PCE increases...